Registration for WCT - TDS

WCT (Work Contract Tax) is now solely under jurisdiction of Sales tax authority of the concerned state. WCT is applicable where work/composite supply is being executed i.e. contract consisting of supply & service both.

Payer will have to deduct WCT and deposit the same in the local Sales Tax authority.

A person required to deduct tax at source shall apply for registration in Form DVAT 44 and obtain Tax Deduction Account Number (TAN) with in 7 days from the date on which tax was first deducted or deductible.TAN will be issued in form DVAT 45

Persons who have been allotted TAN are required to deposit the tax deducted within fifteen days following the month in which deduction is made and file a TDS return in Form DVAT 48 within a period of 28 days from end of the quarter in which the tax is deducted

Any delay in depositing of the TDS amount and failure to file TDS returns is subjected to interest and penalties.

The works contractor/dealer on whose behalf the tax has been deducted at source can claim a credit for the TDS amount in the tax period in which he is issued the TDS certificate.